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Topic: log normal?
Replies: 14   Last Post: Jan 1, 2013 6:17 AM

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Phillip Helbig---remove CLOTHES to reply

Posts: 33
Registered: 12/13/04
Re: log normal?
Posted: Dec 27, 2012 2:09 AM
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In article
<83a604c5-c421-4ea2-90f1-a27942ee5fa6@n2g2000pbp.googlegroups.com>,
RichD <r_delaney2001@yahoo.com> writes:

> Ocasionally I come across somethign called log
> normal, and I wonder, what is the purpose?
> The normal distribution is natural, but the log of that,
> seems unnatural, and unintuitive.
>
> Can anyone elaborate on its use?


Basically, the normal distribution is natural for additive processes.
Add n uniform-deviate random numbers together m times, make a histogram
and you get the Gaussian, i.e. normal, distribution. The log normal
distribution is the equivalent for processes which are not additive but
multiplicative.




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